Hong Kong — Under the witness of the Chinese Prime Minister Li Keqiang and the German Chancellor Angela Merkel, the signing ceremony for the cooperation framework agreement between Beijing Enterprises Holdings Limited (“BEHL”), Silk Road Fund Co Ltd (“Silk Road Fund”) and EEW Energy from Waste GmbH (“EEW”) was held at Beijing Great Hall of the People. Silk Road Fund is planning to invest in EEW. Three parties will fully support EEW in becoming a global leading energy-from-waste company.
As a leading energy-from-waste company in Germany and Europe, EEW operates 18 energy-from-waste plants in Germany, Luxemburg and the Netherlands. In 2015, its total waste throughput has reached 4.4 million tons and holds a leading position in the energy-from-waste sector in Germany with approximately 18 percent market share. On 4 February, after rounds of fierce competitions, BEHL successfully acquired 100 percent equity interest in EEW at a consideration of € 1.438 billion. The acquisition received prompt approval from the German government and the transaction was successfully closed on 2 March. Thus far, it’s the largest overseas acquisition related to waste treatment businesses by Chinese enterprises and has created a new record for M&A history of Chinese enterprises in Germany.
BEHL is one of the largest integrated public utilities company in China with core businesses covering green energy, water treatment, solid waste treatment as well as sludge disposal. It is the leader in natural gas and water treatment sectors. The total waste throughput of BEHL in 2015 have reached over 7 million tons if taking account of EEW’s volume which contribute to the leading position of BEHL both in terms of scale and revenue in the energy-from-waste sector in China.
BEHL and Silk Road Fund will fully support EEW in continuing to expand its business presence and providing high-quality green energy in Germany, exploring opportunities in other European countries including the Netherlands and Poland and striving to provide superior environment-friendly energy services in the European market. Simultaneously, BEHL and Silk Road Fund will introduce the cutting-edge technologies and managerial expertise from EEW into China. Various means such as establishing exemplary plants and providing technological renovation and operational support to the existing facilities will be adopted to enhance the overall capabilities of Chinese solid waste treatment sector, improve its environment ecosystem, and provide support for resolving the country’s environmental problems.
Source: Beijing Enterprises Holdings Limited